Mr Giffard

Giffard

cc Private Secretary

PS/Lord Belstead

Mr Clift,

Included in

Pu

SECRET

•final versin

4th 1040/.3

38

FUTURE OF HONG KONG: SPECIAL STUDY

AFF99.

1. You explained why the final version of this Study was going straight to Lord Belstead for onward transmission to the Secretary of State, with a side copy to me and others.

2. On reading it over the weekend, I found myself none too happy with the key paragraph 34, which sets out the Prime Minister's main objectives for her talks in Peking. This has been altered since I commented on the previous version, but not quite as I intended. I would envisage something more like the following:-

"1 34.

In her talks with Chinese leaders about Hong Kong the Prime Minister's main objectives will be:-

3.

(a) to secure Chinese agreement that negotiations

about the future should begin very soon on a basis acceptable to both sides, and that this agreement be registered in a joint statement in terms which will strengthen confidence in Hong Kong;

(b) failing this, to ensure as far as possible

that any public statements made from the Chinese side during or after the visit represent a sufficient step forward to maintain confidence in Hong Kong.

11

Mr Fall tells me that he also has some thoughts.

31 August 1982

My thift

May

Jus

J L Bullard

wo spock again about this paper, please?

SECRET

ски

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